Thanks to a blockbuster IPO, Tesla Motors secured additional financing and investment from Toyota Motors. The Toyota Motors/Tesla Motors partnership is one of the numerous Tesla motors has developed in a quest for a mass-market, all-electric vehicle. Is this excitement and investment going to be enough to keep Tesla Motors floating?
Now Tesla Motors
Tesla Motors is a business that was founded in 2003 and has the goal of creating all-electric cars. There are presently two Tesla Motors electric vehicles on the market — both more than $100,000. Tesla’s goal is to, eventually; bring an all-electric sedan to the market for under $50,000.
The investment Toyota has in Tesla Motors
The investment that Toyota and Tesla announced was contingent on Tesla completing an original public offering. Now the TSLA IPO is completed, Toyota motors will complete its investment. Tesla motors will purchase the now-closed NUMMI plant. Toyota will help advise Tesla on bringing a mass-produced automobile to the market.
Tesla Model S is new
The Tesla Model S should be an all-electric sedan car. . Tesla wants to sell the Model S for less than $50,000, which is considered the “midrange” price point for vehicles. Government tax credits along with all of of the fuel cost savings are expected to add up to make this vehicle more affordable for most buyers. By 2012, the Model S should be on the market.
Other investments received by Tesla Motors
Tesla Motors has gotten investment from more places than just Toyota Motors. Daimler-Chrysler as and the U.S. Government has given Tesla Motors loans to help bring the Model S to market. These investments come despite the fact that Tesla Motors has run at an operating loss yearly. The hope is that with the IPO investment money, Toyota’s help, the U.S. Government’s help, and the Daimler-Chrysler investment, Tesla will start making money in the next three years.
